Blue Yonder Case Studies Bouncing Back

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	Bouncing Back Blue Yonder

Bouncing Back

Blue Yonder

Technology Category	Platform as a Service (PaaS) - Data Management Platforms
Applicable Industries	Electronics
Applicable Functions	Discrete Manufacturing Logistics & Transportation
Use Cases	Inventory Management Supply Chain Visibility
Services	Cloud Planning, Design & Implementation Services
Challenge	Fairchild Semiconductor, a major player in the semiconductor industry, faced significant challenges following the global financial crisis in 2008 and 2009. The industry experienced an unprecedented downturn, followed by a dramatic upturn in customer demand, driven by computing and mobile technologies. Fairchild Semiconductor had to deal with extremely volatile demand, a global shortage of manufacturing capacity, growing lead times, and scarce supply. The company reported first quarter 2010 sales of $378 million, up 7 percent from the prior quarter and 69 percent higher than the first quarter of 2009. To offset this increase in demand, Fairchild Semiconductor needed to increase manufacturing capacity and capabilities with minimal capital investment. Read More
About Customer	Fairchild Semiconductor is a major player in the semiconductor industry, designing and delivering high-performance semiconductors that enable mobile connectivity and optimize energy consumption. With a $1.5 billion runrate based on first quarter 2010 results, the company’s diversified product line includes power management and signal-path integrated circuits, logic and optoelectronic devices for power supply, portable, lighting, motor, computing, consumer and automotive applications. The company reported first quarter 2010 sales of $378 million, up 7 percent from the prior quarter and 69 percent higher than the first quarter of 2009. Read More
Solution	Fairchild Semiconductor implemented JDA’s Inventory Optimization and Scenario Analyzer solutions for more sophisticated inventory modeling capabilities and better scenario management techniques. The company took a speed-to-value approach to install JDA’s solutions, opting to have JDA host the solutions. This ensured that Fairchild Semiconductor achieved a quick return on its technology investment. JDA Inventory Optimization supports Fairchild Semiconductor’s monthly planning cycle by aligning day-to-day inventory plans with top-level goals. Based on consumption patterns, criticality, velocity and other key attributes, the solution enables Fairchild Semiconductor to govern products by a set of highly customized inventory strategies. The data obtained from JDA Inventory Optimization is integrated with JDA Scenario Analyzer, which allows Fairchild Semiconductor to run different scenarios using criteria such as priority schemes and bill of materials. Read More Log in to view content
Contents

Technology Category

Platform as a Service (PaaS) - Data Management Platforms

Applicable Industries

Electronics

Applicable Functions

Discrete Manufacturing

Logistics & Transportation

Use Cases

Inventory Management

Supply Chain Visibility

Services

Cloud Planning, Design & Implementation Services

Challenge

Fairchild Semiconductor, a major player in the semiconductor industry, faced significant challenges following the global financial crisis in 2008 and 2009. The industry experienced an unprecedented downturn, followed by a dramatic upturn in customer demand, driven by computing and mobile technologies. Fairchild Semiconductor had to deal with extremely volatile demand, a global shortage of manufacturing capacity, growing lead times, and scarce supply. The company reported first quarter 2010 sales of $378 million, up 7 percent from the prior quarter and 69 percent higher than the first quarter of 2009. To offset this increase in demand, Fairchild Semiconductor needed to increase manufacturing capacity and capabilities with minimal capital investment.

About Customer

Fairchild Semiconductor is a major player in the semiconductor industry, designing and delivering high-performance semiconductors that enable mobile connectivity and optimize energy consumption. With a $1.5 billion runrate based on first quarter 2010 results, the company’s diversified product line includes power management and signal-path integrated circuits, logic and optoelectronic devices for power supply, portable, lighting, motor, computing, consumer and automotive applications. The company reported first quarter 2010 sales of $378 million, up 7 percent from the prior quarter and 69 percent higher than the first quarter of 2009.

Solution

Fairchild Semiconductor implemented JDA’s Inventory Optimization and Scenario Analyzer solutions for more sophisticated inventory modeling capabilities and better scenario management techniques. The company took a speed-to-value approach to install JDA’s solutions, opting to have JDA host the solutions. This ensured that Fairchild Semiconductor achieved a quick return on its technology investment. JDA Inventory Optimization supports Fairchild Semiconductor’s monthly planning cycle by aligning day-to-day inventory plans with top-level goals. Based on consumption patterns, criticality, velocity and other key attributes, the solution enables Fairchild Semiconductor to govern products by a set of highly customized inventory strategies. The data obtained from JDA Inventory Optimization is integrated with JDA Scenario Analyzer, which allows Fairchild Semiconductor to run different scenarios using criteria such as priority schemes and bill of materials.

Impact #1	Improved alignment of day-to-day inventory plans with top-level goals
Impact #2	Ability to govern products by a set of highly customized inventory strategies
Impact #3	Provide guidance on over- and under-utilized resources and long-term capacity requirements

Impact #1

Improved alignment of day-to-day inventory plans with top-level goals

Impact #2

Ability to govern products by a set of highly customized inventory strategies

Impact #3

Provide guidance on over- and under-utilized resources and long-term capacity requirements

Benefit #1	69% increase in sales in the first quarter of 2010 compared to the first quarter of 2009
Benefit #2	7% increase in sales from the prior quarter in the first quarter of 2010
Benefit #3	Leaner inventory than ever before

Benefit #1

69% increase in sales in the first quarter of 2010 compared to the first quarter of 2009

Benefit #2

7% increase in sales from the prior quarter in the first quarter of 2010

Benefit #3

Leaner inventory than ever before

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Overview

Bouncing Back

Operational Impact

Quantitative Benefit